32g thinks it is something it is not

I just got a refurbished 32g 1st gen touch. After going through various trials with it (3 different restores) it now seems to be in working order. However, there is a serious problem. It now displays 14.84 gig capacity as though it were a 16. However... it is not! It is a 32. Does anyone know what is going on here? I saw a similar post on here but this problem is a bit different.